Nvidia'S stock rose ~5.39% to $207.09, bringing the market cap back to $5 trillion

Shares of Nvidia jumped around 5.39% to close at $207.09, bringing the chip company’s total worth back near the $5 trillion mark for the first time since geopolitical tensions sent markets tumbling earlier this year.

The graphics processor manufacturer last touched this valuation level before stock prices fell during market turbulence tied to the Iran conflict in early 2026. 

Wednesday’s rally puts Nvidia back among a small group of companies worth $5 trillion.

Nasdaq futures gained more than 1% as news emerged of progress on a peace agreement with Iran, while oil prices dropped sharply. 

This combination of events tends to benefit fast-growing technology companies like Nvidia that trade at high price-to-earnings multiples.

Nvidia’s current market value stands at $5.05 trillion, keeping it as the world’s most valuable company. 

Corning partnership secures optical infrastructure

To strengthen its position, Nvidia announced a $500 million investment in Corning, the company that makes fiber-optic cables. 

The deal includes two types of warrants that give Nvidia the right to buy Corning stock. 

A filing with securities regulators shows Nvidia received a warrant to purchase up to 15 million Corning shares at $180.00 each, plus another warrant for 3 million more shares at just $0.0001 per share.

Corning’s stock jumped roughly 14% after the news broke.

Beyond the financial arrangement, Corning committed to a major expansion of its American production facilities. 

The glassmaker will increase its U.S. optical-connectivity manufacturing by ten times its current size, construct three new factories in North Carolina and Texas, and hire more than 3,000 workers for well-paying positions.

Jensen Huang said in a statement: “AI is driving the largest infrastructure buildout of our time, and a once-in-a-generation opportunity to reinvigorate American manufacturing and supply chains. Together with Corning, we are inventing the future of computing with advanced optical technologies, building the foundation for AI infrastructure where intelligence moves at the speed of light.”

The Corning deal represents the third piece of a supply chain strategy Nvidia started in March. 

That month, the company put $4 billion into Coherent and Lumentum, two businesses that make laser components for Nvidia’s Spectrum-X co-packaged optics system.

Competition heats up in AI processor market

While Nvidia works to secure its suppliers, rivals are gaining ground in the chip market. 

As Cryptopolitan reported earlier, AMD saw its shares rise about 5% after reporting better-than-expected results. 

The company earned $1.37 per share on an adjusted basis and told investors to expect stronger sales ahead. 

AMD also said it anticipates growing demand for central processing units as these chips take on more work in artificial intelligence applications.

At the same time, major technology companies are developing their own processors to reduce reliance on Nvidia. 

Anthropic PBC plans to spend roughly $200 billion with Alphabet over five years, following Alphabet’s decision to sell its tensor processing unit chips to certain clients. 

Amazon.com Inc. said its Trainium custom AI chips have secured more than $225 billion in future revenue agreements. 

Meta is also getting ready to use chips it designed in-house.

Bill Stone, who oversees investments at Glenview Trust Company, pointed out the risk Nvidia faces: “The problem with having basically 100% market share is that there’s only one direction for it to go, and it certainly seems like these companies could be credible competitors.”

Still, Nvidia hasn’t lost much market position yet. 

The company controlled 86% of the AI accelerator market in 2025, the same percentage it held in 2024. 

Supporters of the stock argue that AI demand remains so high that multiple companies can succeed. 

Alphabet, Amazon, Meta, and Microsoft together expect to spend up to $725 billion this year on data centers and equipment, and these four customers make up about 45% of Nvidia’s total sales.

Nvidia will report its first-quarter earnings on May 20, which investors see as an important test of whether the company can maintain its lead.

The May earnings report will offer a clearer look at how these massive infrastructure investments are impacting the company’s bottom line.

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